The SF Market: A Death Match Between Developers, the Dead and the Divorced

The SF real estate market is currently being driven by 3D's: Developers, the Dead, and the Divorced. Developers are selling because they see the opportunity to make a profit in a low-inventory market. The Dead are selling because they no longer need a home. The Divorced are selling because they must split their assets. These 3D’s seem to be the only ones who are consistently listing their properties for sale these days. Everyone else is hanging on to, or held captive by, their low-interest rate mortgages….a trend that is causing tight inventory. Despite interest rates that inched up recently, we are seeing surprisingly strong demand from buyers who are competing for a limited number of homes. What does this mean for homebuyers? If you're a buyer, be prepared for a competitive market. There are more buyers than sellers in the market, which drives up prices. The best homes sell quickly. Single-family houses and condos that don’t require any work and are located in a desirable neighborhood are in high demand. You'll need to be prepared to pay a premium for those. You'll also need to be flexible with your criteria as you may not be able to find the exact home you're looking for. This means that you may need to compromise on things like location, size, or condition. Buyers are very picky lately and will pass on homes that require cosmetic updates. So, if you are willing to put in some work, you can find great deals.. What does this mean for sellers? If you're a seller, you're in a good position to get a good price for your home, if you prepare it to look at its best and price it right. It's unclear how long this trend will last. But for now, the 3D's are providing some relief to the lack of new inventory and keeping prices strong in the city.

Are you, or someone you know, ready to move? Let me know - I can help! Cheers, Maggie

Compass is a real estate broker licensed by the State of California operating under multiple entities. License Numbers 01991628, 1527235, 1527365, 1356742, 1443761, 1997075, 1935359, 1961027, 1842987, 1869607, 1866771, 1527205, 1079009, 1272467. All material is intended for informational purposes only and is compiled from sources deemed reliable but is subject to errors, omissions, changes in price, condition, sale, or withdrawal without notice. No statement is made as to the accuracy of any description or measurements (including square footage). This is not intended to solicit property already listed. No financial or legal advice provided. Equal Housing Opportunity. Photos may be virtually staged or digitally enhanced and may not reflect actual property conditions.

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